Proposed_FY20_Uniform_Rates_and_Rules.pdf

28 June 19

MEMORANDUM FOR ALL CARRIERS

FROM: USTRANSCOM/TCAQ-C

508 Scott Drive

Scott AFB IL 62225-5357

SUBJECT: Notice of Proposed Fiscal Year 2020 (FY20) Uniform Rates and Rules for

International Service – Solicitation Number HTC711-18-R-CC04

(SUSPENSE: 19 July 19)

1. The proposed FY20 rates are based on fuel pegged at $2.46 per gallon for passenger and

$2.58 per gallon for cargo. The proposed rates for the various classes of service are as follows.

All passenger rates are expressed per seat mile whereas all cargo rates are per ton mile.

Effective Rate Linehaul Rate Stop Charge

Large Class Passenger $0.13033

Medium Class Passenger $0.15257

Small Class Passenger $0.16738 $2,000

Large Class Cargo $0.40298

Medium Class Cargo $0.45706

2. Carriers who provided cost data for the rate review should provide comments and supporting documentation via email to michael.w.muskopf.civ@mail.mil and chad.s.lindauer.civ@mail.mil by COB on 19 July 19. If specific information is required on individual cost elements, we will provide detailed step-by-step treatment upon carrier request.

3. In accordance with our Memorandum of Understanding, please direct any questions or concerns to me at michael.w.muskopf.civ@mail.mil or 618-220-7114.

//SIGNED//

Michael W. Muskopf

Contracting Officer, Charter Airlift Branch

Attachment:

28 June 2019 Proposed FY20 Uniform Rates and Rules for International Service

UNITED STATES TRANSPORTATION COMMAND

508 SCOTT DR

SCOTT AIR FORCE BASE, IL 62225-5357

mailto:michael.w.muskopf.civ@mail.mil mailto:chad.s.lindauer.civ@mail.mil

Prepared By: United States Transportation Command, Command Acquisition, 508 Scott Drive, Scott AFB IL 62225-5357

UNITED STATES

TRANSPORTATION COMMAND

PROPOSED

UNIFORM RATES AND RULES

FOR

INTERNATIONAL SERVICE

FISCAL YEAR 2020

INTRODUCTION

USTRANSCOM developed the Proposed FY20 Uniform Rates and Rules (hereafter referred to as “Rates”), with the exception of general escalation, using rate-making procedures in compliance with the following: Federal Acquisition Regulation (FAR), Memorandum of

Understanding (MOU) for FY18 through FY22, and methodologies previously established by the Civil Aeronautics Board (CAB). The FY20 Rate is being adjusted by escalation of the prior year’s rates vs. a full cost package submission due to agreed upon procedures between the Carriers and USTRANSCOM. The rate will be escalated at the start of the second year of each contract period of performance, thus making FY20 the second year of the base period of performance.

Late Information.

Information received too late for inclusion in this proposed rate will be evaluated and negotiated with individual carriers for consideration in the final rate.

Transparency.

Carriers are encouraged to discuss issues with USTRANSCOM at any point within the rate-making process. Individual carrier cut sheets will be provided to facilitate on-going discussions. These cut sheets provide detailed information related to adjustments made by the analyst based on contractor’s costs and/or statistical data.

Comment Period

USTRANSCOM is providing 21-days for carrier comments. Comments are due by COB on

19 July 2019. The final rates must be published before the New Contract can be exercised.

Participation.

USTRANSCOM rates are based on carriers’ historical costs, projected into the contract year, plus a profit element. Each carrier’s rates are weight averaged (based on USTRANSCOM revenues for a two-year period) into a single worldwide rate per seat-mile or ton-mile for each of the USTRANSCOM rate categories. In accordance with the MOU, carriers receiving five percent or greater of USTRANSCOM charter business, as calculated by USTRANSCOM’s internal database,i are required to submit their cost data. USTRANSCOM’s objective is to include a pool of accurate data fairly representing the cost of providing DoD charter service.

The FY20 rates were developed by escalating FY19 experienced base year costs and statistical data for base year beginning 01 July 2016 and ending 30 June 2017 by an additional

12 months. The escalation process is applicable to the following cost categories, provided by carriers; Labor (Crew, Maintenance, Insurance, and Flight Attendants). Also, the General

Cost and FICA Escalations initially escalated at 27 months are extended an additional 12 months for a 39-month escalation. Adjustments made to carriers’ forecast costs were based on past ratemaking practices, findings reported by the Defense Contract Audit Agency

(DCAA), the FAR, and the FY18 through FY22 MOU.

Allowable Cabin Load (ACL) Adjustment.

Consistent with the FY19 Final CRAF Rates and Rules for instances where a carrier performed missions below its standard ACL, USTRANSCOM divided total operating costs per mile by the carrier’s average ACL weighted by revenues. Missions flown at ACLs decremented due to performance deficiencies were not included in the weighted average ACL calculation.

Escalation.

The general escalation factor applied to the FY20 proposed rates is the escalation percentage calculated for the FY19 final rates based on a 39-month escalation versus 27 months. This was calculated using the GII Cost Index (NAICS 481112) at 70 percent weighting and the

A4A index at 30 percent weighting. On the escalation years, if the adjustment varies by more than 0%, categories other than fuel and labor will receive a general escalation adjustment ranging from -1% (lower) and 4% (upper) based on indices agreed between the parties from time to time. Annual fuel and labor escalation will not be subject to this range band. This will be updated for the FY20 final rates.

Fly America Act.

Section 5 of the International Air Transportation Fair Competitive Practices Act of 1974 (49

U.S.C. 40118) (Fly America Act) requires all federal agencies and government contractors and subcontractors use U.S.-flag air carriers for U.S. government-financed air transportation of personnel (and their personal effects) or property, to the extent that service by those carriers is available. As prescribed in FAR 47.405, the contracting officer “shall” insert the clause at FAR 52.247-63 – Preference for U.S. – Flag Air Carriers in each subcontract or purchase under a contract that may involve international air transportation. As a result, the

CRAF solicitation for the FY19 and FY20 performance periods contains this clause requiring carrier adherence.

In accordance with FAR 52.247-63 (c) and (d), contractors are required to use U.S.-flag carriers, if available, in performing work under this contract for international air transportation of personnel (and their personal effects) or property. In the event, the contractor selects a carrier other than a U.S.-flag carrier for international air transportation, the contractor is required to include a “Statement of Unavailability of U.S.-Flag Air Carriers” on vouchers involving such transportation. Per FAR 47.403-3, USTRANSCOM is required to disallow expenditures for U.S government-financed commercial international air transportation on foreign-flag air transportation without annotation on the voucher adequately explaining why service by U.S.-flag carriers was not available or why it was necessary to use foreign-flag air carriers.

Fuel.

TCAQ pegs the price of fuel for charter services based on data from carrier provided fuel reports and industry data. Fuel reports are reviewed for commercial fuel price trends on DoD missions and the ratio of DoD and commercial fuel uplifted in support of DoD missions. To develop the proposed pegged price of fuel for each category, TCAQ used a projection of commercial fuel costs and the known Defense Logistics Agency - Energy (DLA-E) fuel costs and weighted them based on the historical proportions used for each aircraft category. The

DLA-E JP-5 and JP-8 fuel prices effective 01 Apr 2018 were used in determining the pegged price of fuel. A composite DLA fuel cost based on both JP-5 and JP-8 was developed using a weighted average cost of DLA’s published prices for JP-8 ($2.76/gal) which received a 90% weighting and JP-5 ($2.79/gal) which received a 10% weighting yielding a projected composite DLA fuel cost of $2.76/gal. USTRANSCOM will update any known or estimated

DLA fuel pricing for JP-5 and JP-8 in the final rates.

To estimate the average price of commercial fuel during the FY19 performance period, USTRANSCOM relied on the relationship between the IHS Global Insight Index (GII) for Jet

Fuels (PPI3241104Y) and the historical average quarterly cost of commercial fuel. The average commercial cost of fuel and the Jet Fuels PPI data was used to estimate a linear relationship using MS Excel yielding two equations for forecasting the commercial price of fuel based on the Jet Fuels PPI projections.

A review of carriers’ recent monthly fuel reports conclude cargo carriers receive 61 percent of their fuel at military installations and are charged the rate set by DLA-E. Conversely, passenger carriers receive 63 percent of their fuel commercially, which fluctuates up and down with the commercial fuel market.

The weightings between commercial fuel and military fuel and the projected commercial fuel cost and military fuel costs results in a pegged fuel price of $2.46 for passenger and $2.58 per

U.S. gallon for cargo. The pegged price includes into-plane fees and taxes.

USTRANSCOM updated the pegged price for fuel in the FY19 final rate calculation and will continue to closely monitor fuel prices for the FY20 performance period making appropriate adjustments to the pegged fuel prices as we have done in prior contract periods.

Incorporation of Lean Six Sigma (LSS) recommendations.

During both the FY13 and FY14 rate reviews, USTRANSCOM worked with LSS experts from its Army Subordinate Command to determine ways to improve the ratemaking process.

In accordance with these changes, the FY20 proposed rates applied the same rate factors used in the FY19 final rates for general escalation, FICA cost escalation and the Eurocontrol surcharge. These rate factors will be updated in the final rates to reflect the most current data available for the performance period.

USTRANSCOM did not update the pegged price of fuel for the proposed FY20 rates as a fuel update to the Final FY19 rates has recently been issued. To reflect the most current data available, the pegged price of fuel will be updated for the final FY20 rates.

Profit

In accordance with the FY18 through FY22 MOU, USTRANSCOM calculated profit using the weighted guidelines (WGL) model described in detail in the Defense Federal Acquisition

Regulation Supplement (DFARS) 215-404-71. The WGL model compensates CRAF participants for the risk and capital investment associated with providing DoD transportation and effectively replaces the full and minimum ROI models applied in historical rate reviews for the same purpose.

Ferry

USTRANSCOM changed the ferry rate for passenger services in FY02 from 75 percent to 90 percent. The ferry rate is a reduced rate based on savings of flying an empty aircraft. An empty aircraft does not incur costs such as food, full cabin crew salary, and passenger liability insurance. The aircraft in empty service is more fuel-efficient and flies a more direct route.

An empty aircraft in non-revenue service also incurs lower cost in “aircraft and traffic servicing.” Non-revenue enroute stops do not incur costs related to traffic handling personnel, gate requirements, security, and in some cases landing fees. On the basis of the FY19 review, the ferry rate for the FY20 proposed rates is 90 percent of the effective rate for passenger and

89 percent for cargo. Ferry rates for both services will be updated for the FY20 final rates.

Stop Charges.

Stop charges were initially introduced as an attempt to better align carrier’s revenues with the cost of operations where certain DoD missions had significantly more revenue stops and the stage length among carriers reflected significantly different averages. At that time, there were fewer rate classes, narrowbody passenger, widebody passenger and cargo. Carriers contended missions such as the Mediterranean channel produced a short stage length, low speed and significantly higher operating costs than the typical long range DoD mission. Carriers operating the inefficient routes with short stage lengths and low utilization experienced higher operating costs per mile, but were receiving the same compensation under the uniform rate.

Stop charges were introduced in an effort to curve the revenues to accommodate for those inefficient routes with short stage lengths.

By FY10, USTRANSCOM had increased the number of rate classes to five (large, medium and small passenger plus large and medium cargo). Increasing the number of rate classes effectively eliminated the need for stop charges in all classes other than small passenger and medium cargo. Unlike the larger rate classes, the small passenger class still contained a significant amount of inefficient routes with shorter stage lengths and lower utilization than other routes in the class. The linehaul rate is a mathematical equation derived from the effective rate, using weighted averaged stage lengths, average tons/seats per mission and the stop charge rateii. Paying the effective rate versus, a linehaul rate plus a stop charge, should be revenue neutral for all carriers provided the following conditions are met: (1) the average stage length for all carriers within a rate class remains similar to the weighted average stage length used in the class and (2), no extreme differences exist between the stage lengths of carriers within the same class. Each rate review, USTRANSCOM reviews base year data to determine relevancy of a stop charge in the individual rate classes.

USTRANSCOM performed a cursory examination of the average stage lengths of participants in all rate classes and determined to continue the linehaul and stop charge in the small class passenger category only.

Incremental Passenger Movement.

USTRANSCOM will develop the incremental passenger rate at the time of the final rate publication based on the most current data available.

Appendices.

Appendix A provides procedures and rules for the application of USTRANSCOM Rates.

Appendix B provides the weighting and participation of carriers comprising the large, medium, and small class of passenger aircraft, and the large and medium class of cargo aircraft rates, respectively. Appendices C through G illustrate individual treatment of each carrier’s cost by aircraft type. Appendices H and I provide the Eurocontrol Surcharge and

Cost Escalation Factor, respectively. Appendix J demonstrates the FICA calculation.

i The Commercial Operation Integrated System (COINS) database supports contracting of commercial airlift.

The database for contract dollars is maintained by USTRANSCOM/TCAQ-C.

ii Linehaul rate = Effective Rate - (Stop charge/(Average Stage Length * ACL))

INDEX OF APPENDICES

No.

Appendix Title Pages

A USTRANSCOM Uniform Negotiated Rates and Rules 5

B Computation of Uniform Rates: 5

Large Class Passenger Service

Medium Class Passenger Service

Small Class Passenger Service

Large Class Cargo Service

Medium Class Cargo Service

C Costs Per Seat Mile by Carrier and Aircraft Type

In Large Class Charter Passenger Service 2

D Costs Per Seat Mile by Carrier and Aircraft Type in Medium Class Charter Passenger Service 2

E Costs Per Seat Mile by Carrier and Aircraft Type in Small Class Charter Passenger Service 2

F Costs Per Ton Mile by Carrier and Aircraft Type in Large Class Cargo Service 3

G Costs Per Ton Mile by Carrier and Aircraft Type in Medium Class Cargo Service 3

H Eurocontrol Surcharge 5

I Cost Escalation Factor 2

J FICA Escalation 1

APPENDIX A

SCHEDULE OF UNIFORM NEGOTIATED RATES AND RULES (PROPOSED)

FISCAL YEAR 2020

A. RATES. Air transportation services shall be paid for at the following rates. In addition, carriers' monthly

USTRANSCOM revenues based on the uniform rate will be adjusted for the variance in fuel price as provided in paragraph C of this Appendix A.

(1) CHARTER PASSENGER SERVICE PER SEAT MILE

Large

Live Effective Rate $0.13033

Ferry Rate (Base - Effective Rate) 90% $0.11730

Incremental Passenger $134

Fuel Pegged Rate $2.46

Medium

Live Effective Rate $0.15257

Ferry Rate (Base - Effective Rate) 90% $0.13731

Small

Live Line Haul Rate $0.16738

Effective Rate $0.17668

Ferry Rate (Base - Effective Rate) 90% $0.15902

Stop Charge (Per Directed Landing) $2,000

(2) CHARTER CARGO SERVICE PER TON MILE

Large

Live Effective Rate $0.40298

Ferry Rate (Base - Effective Rate) 89% $0.35865

Fuel Pegged Rate $2.58

Medium

Live Effective Rate: $0.45706

Ferry Rate (Base - Effective Rate) 89% $0.40678

Fuel Pegged Rate $2.58

(3) EUROCONTROL. Eurocontrol applies where a carrier is required to transit countries with an ICAO prefix of "E" or "L" (i.e., EDAF, LIRA), with the exception of EGYP in the Falkland Islands. Eurocontrol will be paid on live miles only. On one way passenger missions when Eurocontrol is applicable to both the live and empty segment, Eurocontrol will be paid on the live miles plus an additional 85 percent of those miles (i.e., 6,000 mile one way passenger mission would be paid 1.9 percent on 6,000 miles + 5,100 miles). On one way cargo missions when

Eurocontrol is applicable to both the live and empty segment, Eurocontrol will be paid on the live miles plus an additional 30 percent of those miles (i.e., 6,000 mile one way cargo mission would be paid 2.8 percent on 6,000 miles

+ 1,800 miles). Combi Carriers will be paid the applicable rate plus a surcharge of 1.9 percent.

(4) FERRY. Ferry will be paid based on standard ACL or lesser amount. However, no ferry miles will be paid if actual flown ferry miles (combines total of ferry/backhaul) are less than 30 miles.

(a) Positioning and depositioning ferry: Positioning and depositioning ferry shall be included with the offer and negotiated at time of award. Paid depositioning mileage will not exceed the mileage required to return the aircraft to its originating station.

(b) “Front/backhaul ferry” on one-way passenger and cargo missions will be applied to empty backhaul miles in addition to, and in the same manner as, positioning/depositioning ferry identified in subparagraph (a) above.

(5) INCREMENTAL PASSENGER MOVEMENT. The incremental passenger rate applies when the number of additional passengers above the standard ACL is identified for an exercise, SAAM or contingency. The incremental passenger movement rate is $220 for each additional passenger over the standard ACL. In cases when the per seat cost is lower than USTRANSCOM’s incremental passenger rate, USTRANSCOM will pay the lesser amount.

(6) TRIP CANCELLATION. A cancellation charge will be paid on missions canceled with notification given within the time frames noted below (see Performance Work Statement (PWS), Trip Cancellation). Times are all prior to scheduled departure. Reference to days means a continuous 24-hour period. All “days” refers to “calendar days.” The cancellation charge will be applied to the trip price for the route segment only (ferry, stop charges, Eurocontrol surcharge or any other additional charges will not be included). Cancellation of one way passenger missions will be calculated on a trip price made up of the live miles plus 85 percent of those miles at the live mile rate

(i.e., 6,000 mile one way mission would be paid the applicable cancellation percentage on 6,000 miles + 5,100 miles times the live mile rate). Cancellation of one way cargo missions will be calculated on a trip price made up of the live miles plus 30 percent of those miles at the live mile rate (i.e., 6,000 mile one way mission would be paid the applicable cancellation percentage on 6,000 miles + 1800 miles times the live mile rate). The charges are as follows:

Time Frame Service Type

Standard

Cancellation

Cancellation Prior to

Actual Mission

Number Assignment*

Seven days or less

Passenger:

Cargo:

35.91%

29.10%

71.82%

58.20%

8 to 14 days

Cargo:

21.10%

23.45%

42.20%

46.90%

15 to 30 days

Cargo:

17.74%

19.58%

35.48%

39.16%

31 to 45 days Passenger: 10.71% 21.42%

31 to 75 days Cargo: 8.80% 17.60%

Beyond 45 days Passenger: 0% 0%

Beyond 75 days Cargo 0% 0%

Missions awarded less than 14 days prior to operating date and subsequently cancelled

Passenger:

Cargo:

21.10%

23.45%

42.20%

46.90%

*Once a mission has been assigned an actual mission number, the cancellation fee will revert back to the standard cancellation rate.

(7) DEMURRAGE. Demurrage, when approved by the CO, will be paid on completed cargo missions when departure is delayed over 3 hours beyond scheduled block time and the delay is Government controllable. Approval of requests will be based on the Government’s validation of the actual mission details submitted by the Contractor and circumstances as documented in GDSS and COR reports. Demurrage is calculated by subtracting three (3) hours from the total number of hours (rounded to the nearest hour) the aircraft is delayed. These hours are then multiplied by the price set forth in the Rates and Rules based on aircraft type. Payment of delays of fractions of an hour will be calculated using normal rounding procedures, i.e., 29 minutes or less will be dropped, 30 minutes or more will be rounded to the next whole hour. Demurrage charges are as follows:

Aircraft Type ACL Demurrage

B747-100/200 90 $2,193

B747-400/400ER 100 $2,437

MD11 86 $2,095

B777F 88 $2,144

A300-600ER 51 $1,805

A300-400F 50 $1.769

B767-300F 61 $2,158

B767-200F 48 $1.698

B. AIRCRAFT STANDARDS. The rate set forth in paragraph A shall be applied to the following standard aircraft loads. When an aircraft is offered for the fixed buy missions with fewer seats than the standard ACL, we will only pay for the actual number of seats.

PASSENGER AIRCRAFT CARGO AIRCRAFT

Aircraft Type Maximum Standard

Payload Aircraft Type Maximum Standard

Payload

Small Aircraft: Small Aircraft:

A319 135 L100 23

MD80 140

B737-400/700 140

B737-800 150

A320 150

B737-900 165

A321 170

Medium Aircraft: Medium Aircraft:

B757-200/200ER 190 B767-200F 48

B757-300 200 A300-B4(F) 50

B767-200/200ER 200 A300-600ER 51

A310 200 B767-300F 61

B767-200 Charter Config. 207

A300 210

B767-300/300ER 240

B767-400ER 260

A330-200 280

Large Aircraft: Large Aircraft:

A330-300 330 MD11 86

B777-200ER 330 B747-400 100

A340 345 B777F 88

MD11/MD11ER 360 B747-100/200/300 90

B777 Charter Config. 380

B747 400

B747 Charter Config. 435

C. FUEL ADJUSTMENTS.

(1) The carrier shall be compensated for variance in fuel prices incurred on USTRANSCOM contracted full planeload missions bought at the USTRANSCOM rate. COMPENSATION WILL NOT BE MADE TO THE PRIME

OR SUBSERVICING CARRIER FOR SUBSTITUE SERVICE OR SUBCONTRACTED MILES. Adjustments will be made upward or downward if the price of fuel varies by more than one cent per gallon from the pegged price (as stated in the USTRANSCOM Uniform Negotiated Rates and Rules) used in establishing the USTRANSCOM rates.

(2) The solicitation/contract addresses the current fuel adjustment procedures (see PWS, Appendix 3B Report

Procedures).

D. COMPUTATION OF PASSENGER SEAT-MILES AND CARGO TON-MILES FOR PAY PURPOSES.

Long Range Service: Computation of miles and stop charges shall be computed as follows:

(1) If a live route segment is less than 4,000 miles, mileage shall be computed nonstop from origin to destination of that segment.

(2) When a live route segment is 4,000 miles or more the live mileage shall be computed via an intermediate point(s) which yields the shortest mileage. This does not apply to ferry segments.

(3) The rate classes using a linehaul rate will receive a stop charge for enroute live and operational stops only.

Examples: KBWI*CYQX–EDDF–LTAG–EDDF*CYQX–KBWI-KCHS = 7 Paid Stops1/

KCHS#MMCZ-MPTO=1 Paid Stop2/

KWRI+KCOF-TAPA-FHAW-TAPA-KCOF+KWRI= 4 Paid Stops3/

1/ * This symbol used in the above example indicates operational stops.

2/ # This symbol used in the above example indicates special miles for circumnavigating countries which will not grant over flight clearances—stop charges do not apply.

3/ + This symbol used in the above example indicates ferry leg for which stop charges do not apply.

4/ / This symbol used to indicate Backhaul Mileage.

5/ - This symbol used in the above example to indicate live stops.

E. DEFINITIONS.

“Charter Service” means USTRANSCOM contracted airlift for the transportation of passengers in full planeload lots on aircraft chartered from the commercial air industry and paid at the USTRANSCOM negotiated rate.

These international charter flights are scheduled by AMC to and from designated commercial airports and/or AMC gateways and/or military aerial ports. Standard cancellation rates (paragraph 6) to not apply.

“Charter rate” means a commercial price that is in fact available to the general public for equivalent services.

Missions bought at a commercial charter price are all inclusive of taxes, Eurocontrol and any other ancillary cost and are not subject to adjustments for fuel prices.

“Stop charge” The stop charge is paid by the government in the case of government directed landings

(enroute live and operational stops) identified by the contract or delivery order to support USTRANSCOM contracted missions. Operational stops allowed in accordance with Appendix A, Paragraph D (3) are considered directed stops.

Landings made by the contractor of his own discretion for maintenance, aborted flights, fuel stops, crew changes, or emergency landings are not considered "directed landings," and therefore receive no stop charge.

“Pay miles” means the great circle statute miles used to compute the price of the mission in accordance with

COINS. COINS calculates distances based on longitude and latitude for geographical locations listed in the DoD

Flight Information Publication (FLIP) and identified by location indicators assigned by the International Civil Aviation

Organization (ICAO) and published in the Location Indicator, Doc 7910/67.

“Linehaul Rate” The Linehaul rate = Effective Rate - (Stop charge/(Average Stage Length * ACL))

APPENDIX B

USTRANSCOM FY17 FY18 Total Adjusted Passenger Passenger Passenger

Aircraft Rate Per Revenues Revenues Revenues Weighted Carrier Type Pax Mile [000] [000] [000] Wgt % Rate

ATLAS AIR, INC. B747-400 0.11644$ 122,195$ 99,600$ $221,794 50.49% $0.05879

OMNI AIR INTERNATIONAL INC B777 0.14449$ 103,309$ 114,194$ $217,504 49.51% $0.07154

$439,298 1.0000

RATE -- WEIGHTED BY REVENUES $0.13033

Exclusive of Fuel $0.09543

LARGE CLASS AIRCRAFT

PASSENGER SERVICE

USTRANSCOM UNIFORM RATE

COMPUTATION

Adjusted Passenger Passenger Passenger

Aircraft Rate Per Revenues Revenues Revenues Weighted Carrier Type Pax Mile [000] [000] [000] Wgt % Rate

ATLAS AIR, INC. B767-300 0.15610$ 155,367$ 128,377$ $283,744 52.18% $0.08144

OMNI AIR INTERNATIONAL INC B767-200/300 0.14872$ 139,004$ 121,072$ $260,076 47.82% $0.07112

$543,820 1.0000

RATE -- WEIGHTED BY REVENUES $0.15257

Exclusive of Fuel $0.11688

MEDIUM CLASS AIRCRAFT

COMPUTATION

USTRANSCOM UNIFORM RATE

PASSENGER SERVICE

Adjusted Passenger Passenger Passenger

Aircraft Rate Per Revenues Revenues Revenues Weighted Carrier Type Pax Mile [000] [000] [000] Wgt % Rate

MIAMI AIR INTERNATIONAL INC B737-400/800 0.17917$ 21,348$ 20,169$ $41,517 69.85% $0.12516 MN AIRLINES, LLC DBA SUN COUNTRY AIRLINES B737-800 0.17092$ 10,098$ 7,819$ $17,917 30.15% $0.05153

$59,434 1.0000

RATE -- WEIGHTED BY REVENUES $0.17668

Exclusive of Fuel $0.14488

Average Average Rate Per Linehaul Rate Effective Rate Stage Seats Per Directed Per Paid Per Seat Mile Length Mission Landing Seat Mile

$0.17668 1,440 149 $2,000 $0.16738

Note: The weighted average stage length and weighted average seats per mission are based on USTRANSCOM data from Jul 16 to Jun 17.

COMPUTATION

USTRANSCOM UNIFORM RATE

PASSENGER SERVICE

SMALL CLASS AIRCRAFT

Adjusted Cargo Cargo Cargo

Aircraft Rate Per Revenues Revenues Revenues Weighted Carrier Type Ton Mile [000] [000] [000] Wgt % Rate

ATLAS AIR, INC. B747-400 0.39916$ 195,239$ 216,440$ $411,679 54.51% $0.21759

KALITTA AIR, LLC B747-400 0.37492$ 152,919$ 140,559$ $293,478 38.86% $0.14570

FEDERAL EXPRESS CORPORATION MD11 0.59905$ 27,155$ 22,886$ $50,041 6.63% $0.03969

$755,198 1.0000

RATE -- WEIGHTED BY REVENUES $0.40298

Exclusive of Fuel $0.24238

COMPUTATION

USTRANSCOM UNIFORM RATE

CARGO SERVICE

LARGE CLASS AIRCRAFT

Adjusted Cargo Cargo Cargo

Aircraft Rate Per Revenues Revenues Revenues Weighted Carrier Type Ton Mile [000] [000] [000] Wgt % Rate

UNITED PARCEL SERVICE CO. B767-300 0.44220$ $5,160 $13,046 $18,205 33.33% $0.14740

ABX B767-200F 0.44960$ $2,629 $2,629 33.33% $0.14987

ATI B767-200F 0.47943$ $5,653 $5,653 33.33% $0.15981

1.0000

RATE -- WEIGHTED BY REVENUES $0.45708

Exclusive of Fuel $0.32863

COMPUTATION

USTRANSCOM UNIFORM RATE

CARGO SERVICE

MEDIUM CLASS AIRCRAFT

APPENDIX C

ATLAS AIRLINES (GTI) Aircraft Type B747-400

LARGE CLASS AIRCRAFT Passenger Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 2,360 2,360

AVERAGE DAILY AIRCRAFT UTILIZATION 6.9 6.9

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $4.4547 $4.4547 Fuel, Oil, & Aircraft Supplies 16.4631 16.4631 Flight Equipment Maintenance 4.7839 4.7888

Total Direct Variable 25.7016 25.7065

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.3423 0.3423 Aircraft Rentals & Miscellaneous 0.0954 0.0954 Flight Equipment Depreciation & Obsolescence 1.5322 1.5322 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 1.9699 1.9699

Indirect:

Maintenance & Depreciation-General Ground Property 0.0856 0.0856 Aircraft & Traffic Servicing 4.1401 4.1401 Passenger Service 9.7716 9.7716 General & Administrative 2.0870 2.0874

Total Indirect 16.0843 16.0847

TOTAL OPERATING COST 43.7558 43.7611

Profit TBD 5.1450

TOTAL COST $43.7558 $48.9061

Allowable Cabin Load 420 420

RATE PER SEAT MILE $0.10418 $0.11644

APPENDIX C

OMNI AIR INTERNATIONAL (OAE) Aircraft Type B777-200CH

LARGE CLASS AIRCRAFT Passenger Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 2,283 2,283

AVERAGE DAILY AIRCRAFT UTILIZATION 7.3 7.3

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $7.7510 $7.7232 Fuel, Oil, & Aircraft Supplies 11.5979 11.5979 Flight Equipment Maintenance 9.1633 9.1633

Total Direct Variable 28.5122 28.4845

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.2655 0.2554 Aircraft Rentals & Miscellaneous 0.0932 0.0932 Flight Equipment Depreciation & Obsolescence 6.0581 6.0581 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 6.4168 6.4067

Indirect:

Maintenance & Depreciation-General Ground Property 0.1200 0.1200 Aircraft & Traffic Servicing 3.2660 3.2660 Passenger Service 5.9648 5.9541 General & Administrative 2.0079 2.0049

Total Indirect 11.3588 11.3451

TOTAL OPERATING COST 46.2878 46.2363

Profit TBD 8.6707

TOTAL COST $46.2878 $54.9070

Allowable Cabin Load 380 380

RATE PER SEAT MILE $0.12181 $0.14449

APPENDIX D

ATLAS AIR, INC (GTI) Aircraft Type B767-300

MEDIUM CLASS AIRCRAFT Passenger Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 5,007 5,007

AVERAGE DAILY AIRCRAFT UTILIZATION 6.7 6.7

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $7.2080 $7.2080 Fuel, Oil, & Aircraft Supplies 8.2653 8.2653 Flight Equipment Maintenance 3.7319 3.7352

Total Direct Variable 19.2052 19.2085

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.1915 0.1915 Aircraft Rentals & Miscellaneous 0.1473 0.1473 Flight Equipment Depreciation & Obsolescence 1.6275 1.6275 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 1.9664 1.9664

Indirect:

Maintenance & Depreciation-General Ground Property 0.0977 0.0977 Aircraft & Traffic Servicing 3.6759 3.6759 Passenger Service 6.0553 6.0553 General & Administrative 1.8825 1.8827

Total Indirect 11.7113 11.7116

TOTAL OPERATING COST 32.8829 32.8865

Profit TBD 4.5764

TOTAL COST $32.8829 $37.4628

Allowable Cabin Load 240 240

RATE PER SEAT MILE $0.13701 $0.15610

APPENDIX D

OMNI AIR INTERNATIONAL (OAE) Aircraft Type B767-200/300

MEDIUM CLASS AIRCRAFT Passenger Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 4,860 4,860

AVERAGE DAILY AIRCRAFT UTILIZATION 6.9 6.9

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $6.0522 $6.0313 Fuel, Oil, & Aircraft Supplies 8.6096 8.6096 Flight Equipment Maintenance 5.3156 5.3156

Total Direct Variable 19.9774 19.9564

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.2618 0.2518 Aircraft Rentals & Miscellaneous 0.4764 0.4764 Flight Equipment Depreciation & Obsolescence 1.3860 1.3860 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 2.1242 2.1142

Indirect:

Maintenance & Depreciation-General Ground Property 0.0710 0.0710 Aircraft & Traffic Servicing 3.1769 3.1769 Passenger Service 4.7388 4.7315 General & Administrative 1.3203 1.3179

Total Indirect 9.3069 9.2973

TOTAL OPERATING COST 31.4085 31.3680

Profit TBD 3.1895

TOTAL COST $31.4085 $34.5575

Allowable Cabin Load 232 232

RATE PER SEAT MILE $0.13538 $0.14872

APPENDIX E

MIAMI AIR INTERNATIONAL, INC (BSK) Aircraft Type B737-400/800

SMALL CLASS AIRCRAFT Passenger Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 925 925

AVERAGE DAILY AIRCRAFT UTILIZATION 5.3 5.3

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $4.5723 $4.5715 Fuel, Oil, & Aircraft Supplies 4.8539 4.8539 Flight Equipment Maintenance 5.2557 5.2554

Total Direct Variable 14.6819 14.6809

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.2660 0.2660 Aircraft Rentals & Miscellaneous 3.4864 3.4864 Flight Equipment Depreciation & Obsolescence 0.1454 0.1454 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 3.8978 3.8978

Indirect:

Maintenance & Depreciation-General Ground Property 0.0587 0.0587 Aircraft & Traffic Servicing 2.6502 2.6502 Passenger Service 2.2028 2.2026 General & Administrative 0.8816 0.8815

Total Indirect 5.7932 5.7929

TOTAL OPERATING COST 24.3729 24.3715

Profit TBD 2.3249

TOTAL COST $24.3729 $26.6964

Allowable Cabin Load 149 149

RATE PER SEAT MILE $0.16358 $0.17917

APPENDIX E

SUN COUNTRY AIRLINES (SCX) Aircraft Type B737-800

SMALL CLASS AIRCRAFT Passenger Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 483 483

AVERAGE DAILY AIRCRAFT UTILIZATION 9.2 9.2

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $4.4861 $4.4861 Fuel, Oil, & Aircraft Supplies 4.5034 4.5034 Flight Equipment Maintenance 2.0508 2.0508

Total Direct Variable 11.0403 11.0403

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.0377 0.0377 Aircraft Rentals & Miscellaneous 2.0547 2.0547 Flight Equipment Depreciation & Obsolescence 0.0874 0.0874 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 2.1798 2.1798

Indirect:

Maintenance & Depreciation-General Ground Property 0.3021 0.3021 Aircraft & Traffic Servicing 3.9943 3.9943 Passenger Service 4.0290 4.0290 General & Administrative 1.8731 1.8731

Total Indirect 10.1984 10.1984

TOTAL OPERATING COST 23.4186 23.4186

Profit TBD 2.2200

TOTAL COST $23.4186 $25.6386

Allowable Cabin Load 150 150

RATE PER SEAT MILE $0.15612 $0.17092

APPENDIX F

ATLAS AIRLINES (GTI) Aircraft Type B747-400

LARGE CLASS AIRCRAFT Cargo Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 5,545 5,545

AVERAGE DAILY AIRCRAFT UTILIZATION 9.1 9.1

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $4.7171 $4.7171 Fuel, Oil, & Aircraft Supplies 15.7718 15.7718 Flight Equipment Maintenance 4.8174 4.8216

Total Direct Variable 25.3062 25.3105

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.0890 0.0890 Aircraft Rentals & Miscellaneous 3.6781 3.6781 Flight Equipment Depreciation & Obsolescence 1.1281 1.1281 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 4.8952 4.8952

Indirect:

Maintenance & Depreciation-General Ground Property 0.0627 0.0627 Aircraft & Traffic Servicing 2.7661 2.7661 General & Administrative 1.4290 1.4293

Total Indirect 4.2577 4.2581

TOTAL OPERATING COST 34.4592 34.4638

Profit TBD 5.4521

TOTAL COST $34.4592 $39.9159

Allowable Cabin Load 100 100

RATE PER TON MILE $0.34459 $0.39916

KALITTA AIR (CKS) Aircraft Type B747-400

LARGE CLASS AIRCRAFT Cargo Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 3,908 3,908

AVERAGE DAILY AIRCRAFT UTILIZATION 8.4 8.4

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $5.1675 $5.1620 Fuel, Oil, & Aircraft Supplies 16.5324 16.5324 Flight Equipment Maintenance 5.5410 5.5410

Total Direct Variable 27.2408 27.2354

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.0780 0.0780 Aircraft Rentals & Miscellaneous 1.1672 1.1672 Flight Equipment Depreciation & Obsolescence 1.2157 1.2157 Amortization of Preoperating Expense 0.0326 0.0326 Capital Gains & Losses 0.0069 0.0069

Total Direct Fixed 2.5004 2.5004

Indirect:

Maintenance & Depreciation-General Ground Property 0.3176 0.3176 Aircraft & Traffic Servicing 2.9036 2.9036 General & Administrative 0.4600 0.4599

Total Indirect 3.6812 3.6810

TOTAL OPERATING COST 33.4224 33.4168

Profit TBD 4.0748

TOTAL COST $33.4224 $37.4916

Allowable Cabin Load 100 100

RATE PER TON MILE $0.33422 $0.37492

FEDERAL EXPRESS CORPORATION (FDX) Aircraft Type MD11

LARGE CLASS AIRCRAFT Cargo Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 448 448

AVERAGE DAILY AIRCRAFT UTILIZATION 6.6 6.6

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $5.7114 $5.9399 Fuel, Oil, & Aircraft Supplies 13.4785 13.4785 Flight Equipment Maintenance 12.5430 12.5430

Total Direct Variable 31.7329 31.9614

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.0564 0.0564 Aircraft Rentals & Miscellaneous 2.2009 2.2009 Flight Equipment Depreciation & Obsolescence 1.7345 1.7345 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 3.9919 3.9919

Indirect:

Maintenance & Depreciation-General Ground Property 2.6225 2.6225 Aircraft & Traffic Servicing 3.1196 3.1196 General & Administrative 3.6818 3.7118

Total Indirect 9.4239 9.4539

TOTAL OPERATING COST 45.1486 45.4071

Profit TBD 6.1114

TOTAL COST $45.1486 $51.5185

Allowable Cabin Load 86 86

RATE PER TON MILE $0.52498 $0.59905

APPENDIX G

UNITED PARCEL SERVICE (UPS) Aircraft Type B767-300

MEDIUM CLASS AIRCRAFT Cargo Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 116 116

AVERAGE DAILY AIRCRAFT UTILIZATION 9.3 9.3

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $7.2267 $7.2267 Fuel, Oil, & Aircraft Supplies 6.1579 6.1579 Flight Equipment Maintenance 6.1039 6.1039

Total Direct Variable 19.4884 19.4884

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.1033 0.1033 Aircraft Rentals & Miscellaneous 0.7275 0.7275 Flight Equipment Depreciation & Obsolescence 0.6664 0.6664 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0315 0.0315

Total Direct Fixed 1.5288 1.5288

Indirect:

Maintenance & Depreciation-General Ground Property 0.1320 0.1320 Aircraft & Traffic Servicing 0.8055 0.8055 General & Administrative 0.8785 0.8785

Total Indirect 1.8160 1.8160

TOTAL OPERATING COST 22.8333 22.8333

Profit TBD 4.1409

TOTAL COST $22.8333 $26.9742

Allowable Cabin Load 61 61

RATE PER TON MILE $0.37432 $0.44220

ABX AIR INC. (ABX) Aircraft Type B767-300F

MEDIUM CLASS AIRCRAFT Cargo Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 300 300

AVERAGE DAILY AIRCRAFT UTILIZATION 5.0 5.0

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $3.9612 $3.9612 Fuel, Oil, & Aircraft Supplies 8.9683 8.9683 Flight Equipment Maintenance 6.1645 6.1645

Total Direct Variable 19.0940 19.0940

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.0753 0.0753 Aircraft Rentals & Miscellaneous 4.5652 4.5652 Flight Equipment Depreciation & Obsolescence 0.0345 0.0345 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 4.6749 4.6749

Indirect:

Maintenance & Depreciation-General Ground Property 0.0000 0.0000 Aircraft & Traffic Servicing 0.6842 0.6842 General & Administrative 0.7634 0.7634

Total Indirect 1.4476 1.4476

TOTAL OPERATING COST 25.2165 25.2165

Profit TBD 2.2093

TOTAL COST $25.2165 $27.4258

Allowable Cabin Load 61 61

RATE PER TON MILE $0.41338 $0.44960

AIR TRANSPORT INTERNATIONAL, INC. (ATI) Aircraft Type B767-300F

MEDIUM CLASS AIRCRAFT Cargo Service

FY20 RATE REVIEW

FORECAST YEAR FY20

BY AS

CARRIER ADJUSTED

TOTAL REVENUE & BACKHAUL/PAID MILES (000) 175 175

AVERAGE DAILY AIRCRAFT UTILIZATION 5.0 5.0

COST PER REVENUE/PAID AIRCRAFT MILE

Direct Variable:

Crew $3.2383 $3.2382 Fuel, Oil, & Aircraft Supplies 8.3766 8.3766 Flight Equipment Maintenance 7.7827 7.7827

Total Direct Variable 19.3976 19.3975

Direct Fixed:

Hull, Public Liability, & Property Damage Insurance 0.0762 0.0762 Aircraft Rentals & Miscellaneous 4.6485 4.6485 Flight Equipment Depreciation & Obsolescence 0.7259 0.7259 Amortization of Preoperating Expense 0.0000 0.0000 Capital Gains & Losses 0.0000 0.0000

Total Direct Fixed 5.4506 5.4506

Indirect:

Maintenance & Depreciation-General Ground Property 0.0145 0.0145 Aircraft & Traffic Servicing 0.4694 0.4694 General & Administrative 0.8250 0.8250

Total Indirect 1.3089 1.3089

TOTAL OPERATING COST 26.1571 26.1571

Profit TBD 3.0880

TOTAL COST $26.1571 $29.2451

Allowable Cabin Load 61 61

RATE PER TON MILE $0.42881 $0.47943

APPENDIX H

Euro As Pay Trip Euro Percent of

Carrier Aircraft ACL Routing Miles Revenues Charges (USD) Trip Rev

ATLAS AIR, INC. B747-400 420 KBWI-ETAR#OJAQ-OKBK#OJAQ-ETAR-KBWI 13,564 $728,688 $12,709.52 2.09%

ATLAS AIR, INC. B747-400 420 KBWI -ETAR -LTAG #OJAQ -OKBK #OJAQ -LTAG -ETAR -KBWI 13,882 $745,772 $11,939.15 1.92%

ATLAS AIR, INC. B747-400 420 KBWI -ETAR -LTAG #OJAQ -OKBK #OJAQ -LTAG -ETAR -KBWI 13,882 $745,772 $12,313.70 1.98%

ATLAS AIR, INC. B747-400 420 KBWI -ETAR -LTAG #OJAQ -OKBK #OJAQ -LTAG -ETAR -KBWI 13,882 $745,772 $13,715.51 2.20%

ATLAS AIR, INC. B747-400 420 KBWI -ETAR -LTAG #OJAQ -OKBK #OJAQ -ETAR -KBWI 13,723 $737,230 $12,283.66 2.00%

ATLAS AIR, INC. B747-400 420 KBWI -ETAR #OJAQ *OKBK -OTBH #OJAQ -ETAR -KBWI 14,180 $761,781 $11,653.99 1.83%

ATLAS AIR, INC. B747-400 420 KBWI -ETAR #OJAQ *OKBK -OTBH #OJAQ -ETAR -KBWI 14,180 $761,781 $11,820.35 1.86%

ATLAS AIR, INC. B747-400 charter 435 KBWI+KNGU*EINN#OJAQ-OMAM-OTBH+OKBK#OJAQ*EINN*KIND-KAUS 15,604 $868,220 $17,310.36 2.39%

ATLAS AIR, INC. B777 charter 380 KBWI -ETAR #OJAQ *OKBK -OTBH #OJAQ -ETAR -KBWI 14,180 $689,230 $10,496.15 1.82%

ATLAS AIR, INC. B747-400 charter 435 KGRK+KFOE-KSSC*CYYT*EINN#OJAQ-OKBK-OTBH+OKBK#OJAQ-LTAG*BIKF*KMSP-KBIF-KBOI+KTCM 17,793 $990,018 $12,621.35 1.53%

ATLAS AIR, INC. B747-400 charter 435 KIAH +KHOP *EINN #OJAQ -OKBK +OMAM #OJAQ *EINN -KBWI 14,581 $811,299 $12,282.91 1.81%

ATLAS AIR, INC. B747-400 charter 435 KBWI +KBIF *KMSP *EINN #OJAQ -OKBK #OJAQ *EINN -KBWI -KHOP 15,707 $873,951 $12,156.76 1.67%

ATLAS AIR, INC. B747-400 charter 435 KIAH+KBIF-KGRK-KGTB-EDDN#OJAQ-OKBK#OJAQ*EINN*KMSP-KBIF+KBWI 16,868 $938,550 $11,929.49 1.52%

ATLAS AIR, INC. B747-400 charter 435 KBWI +KGTB -EDDN +OKBK #OJAQ *EINN *KDTW -KGRK -KBIF +KBWI 12,431 $691,671 $12,148.05 2.10%

ATLAS AIR, INC. B747-400 charter 435 KBWI +KCOS *BIKF -EPPO -EPWR /OJAQ /OKBK #OJAQ *EINN *KDTW-KGRK+KBWI 13,352 $742,917 $10,202.36 1.65%

ATLAS AIR, INC. B747-400 charter 435 KAUS -KBIF *KIND *EINN #OJAQ -OKBK -OTBH +OKBK #OJAQ *EINN*KIND-KAUS+KIAH 17,318 $963,588 $11,596.65 1.44%

ATLAS AIR, INC. B747-400 charter 435 KIAH +KNGU *EINN -LGSA #HECA #HSSS #HSRN -HDAM #HECA #HSSS#HSRN-OMAM#OJAQ*EINN-KBWI 19,549 $1,087,723 $11,751.45 1.29%

ATLAS AIR, INC. B747-400 charter 435 KFAR +KGRK -KHRT *CYQX *EINN #HECA -OKBK -OTBH +OKBK #HECA*EINN*CYQX-KGRK+KBWI 16,759 $932,485 $11,653.21 1.50%

ATLAS AIR, INC. B777 charter 380 KBWI +KBIF *KMSP *BIKF #OJAQ -OTBH +OBBI -OKBK #OJAQ *EINN-KNKT-KRIV+KBWI 18,100 $879,765 $12,065.64 1.64%

ATLAS AIR, INC. B747-400 420 KBWI -ETAR #OJAQ *OKBK -OTBH #OJAQ -ETAR -KBWI 14,180 $761,781 $11,767.65 1.85%

ATLAS AIR, INC. B747-400 charter 435 KGRK -KFOE *KMKE *EINN #OJAQ -OKBK -OTBH #OJAQ *EINN -KHOP-KBWI+KGRK 16,667 $927,366 $13,061.44 1.69%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI ‐ETAR ‐LTAG #OJAQ ‐OKBK #OJAQ ‐LTAG ‐ETAR ‐KBWI 13,882 $674,746 $11,169.84 1.98%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI -ETAR -LTAG #OJAQ -OKBK #OJAQ -LTAG -ETAR -KBWI 13,882 $674,746 $11,169.84 1.98%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI +KBDL *EINN #OJAQ -OMAM +OKBK -OTBH #OJAQ *BIKF -KCOS-KGRK+KVPS 16,087 $781,922 $12,235.57 1.87%

OMNI AIR INTERNATIONAL INC B777-charter 380 KDFW +KNGU *EINN #OJAQ -OMAM #OJAQ *EINN -KBWI 14,588 $709,061 $12,189.20 2.06%

OMNI AIR INTERNATIONAL INC B777-charter 380 KVPS *CYQX *EINN #OJAQ -OTBH +OKBK #OJAQ *BIKF -KCOS +KRIV 15,701 $763,160 $11,117.74 1.75%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI +KPOB *EINN #OJAQ -OKBK -OTBH #OJAQ *EINN -KBWI +KDFW 14,444 $702,062 $9,776.94 1.67%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI +KBIF -KGRK *KDTW *EINN #OJAQ -OKBK #OJAQ *EINN *KDTW-KGRK+KBWI 16,550 $804,426 $11,283.15 1.68%

EUROCONTROL SURCHARGE:

PASSENGER

USTRANSCOM

Pay Trip Euro Percent of

Carrier Aircraft ACL Routing Miles Revenues Charges (USD) Trip Rev

OMNI AIR INTERNATIONAL INC B777-charter 380 KDFW +KGRK *KDTW *EINN #OJAQ -OKBK +OBBI -HDAM #HAGN #HECA*EINN-KGPT-KBIF+KDFW 18,588 $903,485 $11,233.60 1.49%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI +KGRK *KDTW *EINN #OJAQ -OKBK #OJAQ *BIKF *KMSP -KBIF+KDFW 16,324 $793,441 $11,247.17 1.70%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI +KGRK -KPOB *EINN #OJAQ -OKBK #OJAQ *BIKF -KSLN -KBIF+KBWI 16,497 $801,850 $11,248.09 1.68%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI -ETAR #OJAQ *OKBK -OTBH #OJAQ -ETAR -KBWI 14,180 $689,230 $11,856.65 2.06%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI -ETAR #OJAQ *OKBK -OTBH #OJAQ -ETAR -KBWI 14,180 $689,230 $10,989.52 1.91%

OMNI AIR INTERNATIONAL INC B777-charter 380 KBWI -ETAR #OJAQ *OKBK -OTBH #OJAQ -ETAR -KBWI 14,180 $689,230 $10,950.70 1.90%

UNITED AIRLINES INC B747-400 400 KSFO +KNKT *BIKF -ENVA +OKBK #OJAQ *EINN -KHOP -KBIF +KSFO 12,496 $639,345 $11,169.84 2.09%

UNITED AIRLINES INC B747-400 400 KSFO +KMIB *BIKF #OJAQ -OTBH +OKBK #OJAQ *EINN *KMSP -KBIF+KSFO 15,790 $807,880 $16,107.36 2.39%

UNITED AIRLINES INC B747-400 400 KSFO +KSEA -KBIF -KVPS *CYQX *EINN #OJAQ -OTBH /OKBK /OTBH#OJAQ-ETAR*EINN-KBIF+KSFO 19,189 $981,786 $19,378.85 2.36%

ATLAS AIR, INC. B767-300 240 KNGU -LERT -LIRN -LGSA -OBBI -FJDG -OBBI -LGSA -LIRN -LERT-KNGU 20,016 $709,287 $11,586.16 1.96%

ATLAS AIR, INC. B767-300 240 KNGU -LERT -LIRN -LGSA -OBBI -FJDG -OBBI -LGSA -LIRN -LERT-KNGU 20,016 $709,287 $11,904.30 2.01%

ATLAS AIR, INC. B767-300 240 KNGU -LERT -LIRN -LGSA -OBBI -FJDG -OBBI -LGSA -LIRN -LERT-KNGU 20,016 $709,287 $11,899.35 2.01%

ATLAS AIR, INC. B767-300 240 KNGU -LERT -LICZ -OBBI #HSSS #HSRN -HDAM #HSRN #HSSS -OBBI-LICZ-LERT-KNGU 19,046 $674,914 $9,909.68 1.76%

ATLAS AIR, INC. B767-300 240 KNGU -LERT -LICZ -OBBI #HSSS #HSRN -HDAM #HSRN #HSSS -OBBI-LICZ-LERT-KNGU 19,046 $674,914 $9,555.99 1.70%

ATLAS AIR, INC. B767-300 240 KNGU -LERT -LICZ -OBBI #HSSS #HSRN -HDAM #HSRN #HSSS -OBBI-LICZ-LERT-KNGU 19,046 $674,914 $9,557.74 1.70%

ATLAS AIR, INC. B767-300 240 KGRK *KDTW *EINN #OJAQ -OKBK #OJAQ *BIKF *KMSP -KBIF 16,324 $578,457 $9,075.29 1.88%

ATLAS AIR, INC. B767-300 240 KIAH +KBIF *KPSM *EINN #OJAQ -OKBK #OJAQ *EINN *KPSM -KBIF+KIAH 16,904 $599,010 $8,505.81 1.70%

ATLAS AIR, INC. B767-300 240 KIAH +KGRK *KDTW *EINN #OJAQ ‐OKBK #OJAQ *EINN *KDTW ‐KGRK+KIAH 16,042 $568,464 $8,556.28 1.80%

ATLAS AIR, INC. B767-300 240 KBIF +KGRK -KNGU *EINN #OJAQ -OKBK -OTBH #OJAQ *EINN -KBWI+KBIF 15,548 $550,959 $7,948.30 1.73%

ATLAS AIR, INC. B767-300 240 KIAH +KCVS -KHRT *CYQX *EINN -LTAG #OJAQ -OKBK #OJAQ *EINN-KHOP+KBWI 16,106 $570,732 $8,273.13 1.74%

ATLAS AIR, INC. B767-300 240 KMIA +KBIF *KMSP *EINN #OJAQ *OKBK -OTBH +EDDN -UGTB +KBWI 10,380 $367,826 $7,538.42 2.46%

ATLAS AIR, INC. B767-300 240 PHLI +PAEI *CYWG *BIKF #OJAQ -OKBK #OJAQ *EINN *KMSP -KBIF+KIAH 17,379 $615,842 $8,123.32 1.58%

ATLAS AIR, INC. B767-300 240 KIAH +KBIF *KMSP *EINN #OJAQ -OKBK #OJAQ *EINN *KMSP -KBIF+KIAH 16,634 $589,442 $8,345.14 1.70%

ATLAS AIR, INC. B767-300 240 KNGU +KGRK *KDTW *BIKF #OJAQ -OKBK #OJAQ *EINN -KPOB -KGRK+KNGU 16,294 $577,394 $7,952.16 1.65%

ATLAS AIR, INC. B767-300 240 KIAH +KNGU *EINN #OJAQ -OMAM -OTBH #OJAQ *EINN -KBWI +KIAH 14,589 $516,976 $7,662.63 1.78%

ATLAS AIR, INC. B767-300 240 KIAH +KCOS *BIKF -EPWR /OJAQ /OTBH -ETAR *CYQX -KBWI +KIAH 12,200 $432,319 $8,047.28 2.23%

ATLAS AIR, INC. B767-300 240 KIAH +KBIF *KPSM *EINN #OJAQ -OKBK #OJAQ *EINN *KPSM -KBIF+KIAH 16,904 $599,010 $8,080.21 1.62%

ATLAS AIR, INC. B767-300 240 KNGU +KBIF *KNGU *EINN #OJAQ -OKBK -OTBH -OKBK #OJAQ *EINN-KBWI+KNGU 16,081 $569,846 $8,626.95 1.81%

EUROCONTROL SURCHARGE:

PASSENGER

Pay Trip Euro Percent of

Carrier Aircraft ACL Routing Miles Revenues Charges (USD) Trip Rev

ATLAS AIR, INC. B767-300 240 KBWI +EHAM -LBPD /OJAQ /OTBH *VTBU -PGUA +KBWI 7,475 $264,884.10 $4,085.20 1.85%

ATLAS AIR, INC. B767-300 240 KIAH +KBIF *KMSP *EINN #HECA #HEMA -OKBK #HEMA #HECA *EINN*KMSP-KBIF+KIAH 17,192 $609,215.71 $7,906.87 1.56%

OMNI AIR INTERNATIONAL INC B767-200 232 KDFW +KHRT *CYQX *EINN #OJAQ -OTBH -OKBK #OJAQ *EINN *CYEG-PAED-KLAW+KDFW 20,011 $685,472.80 $10,065.89 1.76%

OMNI AIR INTERNATIONAL INC B767-300 232 KDFW +KPOB *EINN -OJMS -OMAM +OKBK -OTBH #OJAQ *BIKF -KCOS+KDFW 15,890 $544,308.77 $10,257.78 2.26%

OMNI AIR INTERNATIONAL INC B767-300 232 KDFW +KBIF *KMSP *EGPD #OJAQ -OKBK #OJAQ *EGPD *KMSP -KBIF+KDFW 16,576 $567,807.56 $10,297.13 2.17%

OMNI AIR INTERNATIONAL INC B767-300 232 KDFW +KNGU *EINN -OJMS -OTBH #OJAQ *EINN -KBWI -KHRT +KSEA 14,901 $510,430.77 $10,475.13 2.46%

OMNI AIR INTERNATIONAL INC B767-300 232 KSLN *CYYR *EINN #OJAQ -OKBK #OJAQ *EINN *KMSP -KBIF +KDFW 15,948 $546,295.55 $9,580.42 2.10%

OMNI AIR INTERNATIONAL INC B767-300 232 KDFW +KBIF…